This bill addresses the responsibility of residential tenants for utility charges and establishes enforcement mechanisms and penalties for violations. It prohibits cities or city utilities from assessing, certifying, or collecting unpaid utility charges as a lien against real property when the utility service was provided to a tenant who is responsible for payment under a rental agreement. Additionally, if a utility service account is in the tenant's name or the rental agreement assigns utility payment responsibility to the tenant, the landlord is not liable for any unpaid charges incurred by the tenant.
The bill outlines specific practices that utility companies are prohibited from engaging in to collect unpaid charges from tenants, such as billing the landlord, transferring unpaid balances to the landlord's account, or filing liens against the landlord's property. It mandates that utilities maintain separate billing accounts for tenants and pursue collection solely against them. Violations of these provisions can result in civil penalties ranging from $500 to $5,000 per violation, and landlords may seek damages and relief through civil action. The bill also requires utilities to release any improperly filed liens within ten days of receiving notice from the landlord and allows the attorney general to enforce the bill as an unlawful practice. The provisions apply to all utility billing and collection activities occurring after the bill's effective date, regardless of when the rental agreement was made.
Statutes affected: Introduced: 384.84